BRAND MPA FOR BRANDS

Transcription

1 BRAND MPA CT FOR BRANDS 1

2 HOW STREAM AUDIENCES ENGAGE WITH BRANDS ING FOR BRANDS 2

3 TABLE OF CONTEN I D INTRODUCTION ABOUT THE STUDY THE GLOBAL STREAMING LANDSCAPE BRAND IMPACT VERTICAL IMPACT METHODOLOGY TS 3

4 INTRO NDUCTION S 4

5 THE STREAMING ECONOMY IS NO LONGER A DISTANT FUTURE IT S ARRIVED. Now more than ever, the way we consume content is time-shifted, screen-shifted and on-demand. Live TV-watching and moviegoing is giving way to video-on-demand viewing. Time spent on mobile apps has grown 21% in the last year music apps lead the way with a 79% growth surge 1 and global revenue from music subscription and streaming platforms has grown 51%, signaling a major shift in the way people listen. 2 These unstoppable trends mirror other seismic changes in consumer behavior: Uber is the new taxi, and Facebook is the new front page. The podcast phenomenon Serial wouldn t have been possible before on-demand went mainstream. In this growing access economy, marketers are faced with a new set of opportunities and challenges. How can brands reach this valuable, yet elusive audience effectively? Luckily, a picture of today s streaming consumer is emerging, and it s a promising one: are twice as likely as non-streamers to advocate for and feel emotionally connected to brands. That s the key finding from our global Brand Impact Study, the first in a series of published studies by Spotify for Brands and comscore that will share what we know about the streaming consumer experience. It means that the move away from traditional media consumption isn t a death knell for brand engagement. It s anything but. Streaming is the new currency of media consumption. It s the way that the world will listen to music, watch TV and more, offering unprecedented ways for people to access the content they love, and even shaping how that content gets created and distributed. The rare streaming platforms that enable brands to support this content offer a more relevant, intimate and high-quality environment to reach consumers than ever before. Because music is one of the first industries to be transformed by the access economy, streaming music listeners are an early proxy for the future of content consumption. As the world continues to go mobile and embrace streaming, the brands that know how to leverage these platforms how to capture the moments that matter deeply to the people listening and watching are the ones poised to win the future. Jeff Levick Chief Business Officer, Spotify 1 Localytics, IFPI Digital Music Report,

6 ABOUT THE STUDY 6

7 T he Brand Impact Study was administered by comscore a global leader in measuring the digital world and a preferred source for digital business analytics and commissioned by Spotify for Brands the platform that unlocks audience intelligence to connect brands with the streaming generation to quantify the impact that music listening has on brands. It tackles these key questions: How do streamers and non-streamers listen to music and consume media? Are streamers more likely to be strong brand advocates than non-streamers? How does the way people listen to music impact their emotional connection to brands? How does the way they listen affect their likelihood to make positive brand associations? Which brand attributes and emotional connections stand out across verticals? How do Spotify users compare to users of other streaming music services? A total of 4,500 respondents were surveyed from nine countries. Respondents were segmented by consumption habits and asked to share their feelings and attitudes towards over 200 brands across five verticals. The results generated brand affinity insights for each consumer segment at the country, vertical, and brand level. Please see the Methodology (page 70) for more details on the Brand Impact Study. 7

8 COUNTRIES Australia France Germany Mexico Singapore Spain Sweden United Kingdom United States AUDIENCE SEGMENTS use any streaming music platform at least monthly. Non-streamers use streaming music platforms less than monthly or not at all. This includes non-music listeners, who make up less than 1% of the total sample. Spotify users identify themselves as using Spotify at least monthly. Other streamers identify themselves as using an Online Music Streaming Service besides Spotify at least monthly and use Spotify less than monthly or not at all. VERTICALS Automotive Consumer Electronics Mobile Phone Service Providers FMCG (Hair Care) Retail (Department Stores) 8

9 THE GLOBAL STREAM LANDSCAPE ING 9

10 LISTENING BY DEVICE Across the nine countries surveyed, nearly all streamers and non-streamers listen to music on a computer, but streamers are much more likely to take their music on the go, whether it s via smartphone (+74%), tablet (+73%) or MP3 player (+41%). Which of these devices do you use to listen to music? 97% 94% +3% Computer 77% 44% +74% Smartphone 56% 40% +41% MP3 Player 53% 31% 38% 31% +73% +24% Tablet Other Non-streamers * refers to % lift over Non-streamers 10

11 MEDIA CONSUMPTION are 5x as likely to watch TV and movies online daily. This indicates that music streamers consumptions habits carry over to TV and movie streaming platforms such as Netflix, Hulu, etc. are 57% more likely to listen to music daily and over 2x as likely to read magazines daily. Which of these media activities do you take part in daily? 100% Non-streamers * refers to % lift over Non-streamers 50% 0% Use a mobile phone Watch TV Listen to music 88% +28% Listen to the radio 79% -3% Read newspapers 73% +57% Watch TV/ movies online 53% +9% Read magazines 23% 19% 40% +385% +112% +28% 11

12 SHOPPING are 17% more likely than non-streamers to shop in stores weekly, and over 1.5x are 17% more likely than non-streamers to shop in stores weekly, and over as likely to shop online weekly. 1.5x as likely to shop online weekly. Which of these shopping methods do you use weekly? 42% 35% +17% Shop in Stores 21% 12% +43% Shop Online Non-streamers * refers to % lift over Non-streamers 12

13 TRANSPORTATION are slightly less likely than non-streamers to drive a car, truck or SUV weekly. are slightly less likely than non-streamers to drive a car, truck or SUV weekly. They re over 1.5x as likely to use public transportation weekly, which is likely connected They re over 1.5x as likely to use public transportation weekly, which is likely connected to streaming services early traction in urban cities. to streaming services early traction in urban cities. Which of these transportation methods do you use weekly? 26% 22% -15% Drive a car, truck or SUV 24% 14% +71% Ride public transportation Non-streamers * refers to % lift over Non-streamers 13

14 LISTENING ENVIRONMENTS Since streamers are more apt to listen on mobile devices, it s no surprise that they re significantly more likely to listen in mobile-friendly environments. are over 3x as likely to listen while shopping or traveling, and 2.5x as likely to listen at work, school and while exercising. The only scenario where streamers do not report significantly higher levels of listening is in the car, where they re only 2% more likely to listen. This is likely to increase as in-car dash integration for streaming services become more prevalent. are 43% more likely to listen to music while doing nothing else, indicating that they also treat listening as an activity in and of itself. Do you ever listen to music without engaging in any other activity? 70% +43% Yes 49% Non-streamers * refers to % lift over Non-streamers 14

15 In the past week, where have you listened to music that you selected? At home In the car Browsing the internet At work/ school While exercising While traveling While with friends While reading While shopping 85% 69% 63% 61% 41% 13% 33% 13% 32% 13% 26% 8% 22% 18% 17% 8% 15% 4% +23% +2% +227% +144% +143% +220% +160% +124% +252% Non-streamers * refers to % lift over Non-streamers 15

16 GENRES When asked which types of music they enjoy, streamers over-indexed in 13 of 20 genres, indicating that they tend to explore a wider variety of music. are nearly 2x as likely to enjoy listening to hip-hop and techo/electronic/ house. Non-streamers over-index in two genres - easy listening and country. Unsurprisingly, pop is the only genre enjoyed by the majority of both streamers (62%) and non-streamers (53%). What genres of music do you enjoy? Non- % Lift Pop 62% 53% +17% Rock 50% 46% +9% Classic Rock 38% 41% -6% Classical 29% 27% +10% Dance 29% 21% +39% Easy Listening 28% 34% -17% Rap/Hip-Hop 24% 11% +113% R&B 23% 20% +16% 16

17 17 17 Instrumental Jazz Alternative Techno/Electronic/ House Reggae Country/Western Blues Metal Folk Gospel New Age 23% 22% 21% 21% 20% 19% 19% 19% 16% 12% 11% 17% 15% 12% 11% 14% 26% 18% 13% 15% 12% 6% Non- +33% +41% +77% +91% +35% -27% +2% +45% +8% +0% +91% % Lift Comedy 9% 7% +16%

18 BRAND MPACT 18

19 In general, streamers are more likely to assign positive attributes to brands compared to non-streamers, regardless of brand or vertical. The following data comprise the averages of attributional data across brands and verticals. ADVOCACY EMOTIONAL CONNECTIVITY RATIONAL ASSOCIATIONS 2x 2x 1.5x are nearly 2x as likely to be stronger brand advocates. are nearly 2x as likely to feel emotionally connected to brands. are nearly 1.5x as likely to make positive rational associations. 19

20 Advocacy 1 45% 28% +61% Would recommend brand 33% 19% +74% Only brand for me 32% 17% +88% Brand is unique and different 27% 12% +125% Willing to pay more for brand Non-streamers * refers to % lift over Non-streamers 1 Respondents answered the brand advocacy questions on a 5-point scale the results represent the top two answers ( strongly agree and moderately agree ). 20

21 Emotional Connectivity feel satisfied I love this brand feel happy 25% 17% +47% 21% 14% +50% 20% 12% +67% feel calm and relaxed 19% 11% +73% It inspires me feel excited feel playful 18% 10% +80% 16% 9% +78% 15% 7% +114% Non-streamers * refers to % lift over Non-streamers 21

22 Rational Associations +10% 25% 34% 30% +15% 28% +27% 27% +23% +25% 25% +32% 25% 0% Has reliable products Is a brand that I can trust Is a responsible brand Is convenient Is for someone like me Is a brand I would like to be seen using 22

23 Non-streamers * refers to % lift over Non-streamers 24% +26% 22% +38% 21% +50% 20% +54% 19% +46% 25% 17% +70% 0% Is an innovative brand Offers superior customer service Is a bold brand Is a passionate brand Is important to my everyday life Is a fun and playful brand 23

24 VERTICAL IMPACT 24

25 AUTOMOTIVE ADVOCACY EMOTIONAL CONNECTIVITY RATIONAL ASSOCIATIONS +67% +52% +30% are 67% more likely to be automotive brand advocates. They re 2x as likely to be willing to pay more for an auto brand. are 52% more likely to feel emotionally connected to auto brands. They re 2x as likely to state that the brand makes them feel playful. are 30% more likely to make positive rational associations about an auto brand. They re over 1.5x as likely to state that the brand is important to their everyday lives. 25

26 Advocacy: Automotive 53% 35% +51% Would recommend brand 40% 24% +67% Only brand for me 38% 23% +65% Brand is unique and different 34% 17% +100% Willing to pay more for brand Non-streamers * refers to % lift over Non-streamers 26

27 Emotional Connectivity: Automotive feel satisfied I love this brand feel happy feel calm and relaxed It inspires me feel excited feel playful 28% 20% 26% 18% 24% 16% 23% 16% 21% 13% 21% 14% 20% 10% +40% +44% +50% +44% +62% +50% +100% Non-streamers * refers to % lift over Non-streamers 27

28 Rational Associations: Automotive Non- % Lift Has reliable products 41% 36% +14% Is a brand that I can trust 37% 31% +19% Is an responsible brand 35% 29% +21% Is convenient 32% 25% +28% Is an innovative brand 31% 24% +29% Is a brand I would like to be seen using 30% 23% +30% Is for someone like me 28% 23% +22% Offers superior customer service 25% 17% +47% Is a bold brand 25% 19% +32% Is a passionate brand 25% 16% +56% Is important to my everyday life 21% 13% +62% Is a fun and playful brand 21% 14% +50% 28

29 CONSUMER ELECTRONICS ADVOCACY EMOTIONAL CONNECTIVITY RATIONAL ASSOCIATIONS +57% +51% +25% are 57% more likely to be consumer electronics brand advocates. They re 2x as likely to be willing to pay more for a consumer electronics brand. are 51% more likely to feel emotionally connected to a consumer electronics brand. They re nearly 2x as likely to state that the brand makes them feel playful. are 25% more likely to make positive rational associations about consumer electronics brands. They re over 1.5x as likely to describe the brand as fun and playful. 29

30 Advocacy: Consumer Electronics 55% 39% +41% Would recommend brand 41% 28% +46% Only brand for me 38% 23% +65% Brand is unique and different 36% 18% +100% Willing to pay more for brand Non-streamers * refers to % lift over Non-streamers 30

31 Emotional Connectivity: Consumer Electronics feel satisfied I love this brand feel happy It inspires me feel calm and relaxed feel excited feel playful 30% 23% 27% 19% 23% 15% 22% 14% 21% 14% 19% 11% 18% 10% +30% +42% +53% +57% +50% +73% +80% Non-streamers * refers to % lift over Non-streamers 31

32 Rational Associations: Consumer Electronics Non- % Lift Has reliable products 40% 38% +5% Is a brand that I can trust 36% 32% +13% Is an innovative brand 31% 25% +24% Is convenient 30% 26% +15% Is a responsible brand 30% 26% +15% Is for someone like me 30% 25% +20% Is a brand I would like to be seen using 29% 23% +26% Is important to my everyday life 25% 18% +39% Is a bold brand 25% 17% +47% Is a passionate brand 23% 16% +44% Offers superior customer service 22% 16% +38% Is a fun and playful brand 22% 13% +69% 32

33 MOBILE PHONE SERVICE PROVIDERS ADVOCACY EMOTIONAL CONNECTIVITY RATIONAL ASSOCIATIONS +82% +75% +43% are 82% more likely to be advocates for mobile phone service provider brands. They re over 2x as likely to be willing to pay more for a mobile provider. are 75% more likely to feel emotionally connected to mobile provider brands. They re over 2x as likely to state that the brand inspires them and makes them feel excited. are 43% more likely to make positive rational associations about a mobile provider. They re nearly 2x as likely to describe the brand as passionate. 33

34 Advocacy: Mobile Phone Service Providers 36% 21% +71% Would recommend brand 31% 19% +63% Only brand for me 25% 13% +92% Brand is unique and different 21% 9% +133% Willing to pay more for brand Non-streamers * refers to % lift over Non-streamers 34

35 Emotional Connectivity: Mobile Phone Service Providers 20% feel satisfied 14% +43% I love this brand 16% 10% +60% feel happy 15% 8% +88% feel 14% calm and relaxed 9% +56% It inspires me 13% 6% +117% feel excited 13% 6% +117% feel playful 12% 6% +100% Non-streamers * refers to % lift over Non-streamers 35

36 Rational Associations: Mobile Phone Service Providers Non- % Lift Has reliable products 27% 23% +17% Is convenient 25% 18% +39% Is a brand that I can trust 24% 18% +33% Is for someone like me 23% 17% +85% Is an innovative brand 22% 16% +38% Is a responsible brand 22% 17% +29% Is a brand I would like to be seen using 21% 13% +62% Is important to my everyday life Offers superior customer service 20% 19% 14% 13% +43% +46% Is a bold brand 19% 12% +58% Is a passionate brand 17% 9% +89% Is a fun and playful brand 15% 8% +88% 36

37 RETAIL ADVOCACY EMOTIONAL CONNECTIVITY RATIONAL ASSOCIATIONS +80% +71% +33% are 80% more likely to be retail brand advocates. They re over 2x as likely to be willing to pay more for a retail brand. are 71% more likely to feel emotionally connected to retail brands. They re 2x as likely to state that the brand makes them feel playful. are 33% more likely to make positive rational associations about retail brands. They re over 1.5x as likely to describe the brand as fun and playful. 37

38 Advocacy: Retail 52% 33% +58% Would recommend brand 34% 17% +100% Only brand for me 35% 20% +75% Brand is unique and different 28% 13% +115% Willing to pay more for brand Non-streamers * refers to % lift over Non-streamers 38

39 Emotional Connectivity: Retail feel satisfied I love this brand 28% 19% 24% 15% +47% +60% 23% feel happy 13% +77% It inspires me 22% 12% +83% feel calm and relaxed 21% 12% +75% feel excited 18% 10% +80% feel playful 16% 8% +100% Non-streamers * refers to % lift over Non-streamers 39

40 Rational Associations: Retail Non- % Lift Has reliable products 38% 32% +19% Is a brand that I can trust 34% 28% +21% Is a brand I would like to be seen using 30% 22% +36% Is convenient 29% 21% +38% Is a responsible brand 29% 25% +16% Is for someone like me 28% 22% +27% Is an innovative brand 25% 19% +32% Offers superior customer service 25% 19% +32% Is a bold brand 23% 16% +44% Is a passionate brand 23% 15% +53% Is a fun and playful brand 20% 12% +67% Is important to my everyday life 18% 11% +64% 40

41 HAIR CARE ADVOCACY EMOTIONAL CONNECTIVITY RATIONAL ASSOCIATIONS +71% +65% +21% are 71% more likely to be hair care brand advocates. They re over 2x as likely to be willing to pay more for a hair care brand. are 65% more likely to feel emotionally connected to hair care brands. They re 2x as likely to state that the brand inspires them, makes them feel excited and makes them feel playful. are 21% more likely to make positive rational associations about hair care brands. They re nearly 2x as likely to describe a hair care brand as fun and playful. 41

42 Advocacy: Hair Care 49% 32% +53% Would recommend brand 36% 22% +64% Only brand for me 36% 20% +80% Brand is unique and different 31% 15% +107% Willing to pay more for brand Non-streamers * refers to % lift over Non-streamers 42

43 Emotional Connectivity: Hair Care feel satisfied I love this brand feel calm and relaxed feel happy It inspires me feel excited feel playful 26% 20% 23% 16% 19% 11% 18% 10% 16% 8% 14% 7% 14% 7% +30% +44% +73% +80% +100% +100% +100% Non-streamers * refers to % lift over Non-streamers 43

44 Rational Associations: Hair Care Non- % Lift Has reliable products 36% 36% +19% Is a brand that I can trust 32% 29% +10% Is convenient 27% 27% +0% Is a responsible brand 27% 23% +17% Is for someone like me 24% 21% +14% Is an innovative brand 23% 20% +15% Is a brand I would like to be seen using 23% 18% +28% Is a bold brand 21% 15% +40% Is a passionate brand 21% 13% +62% Is important to my everyday life 20% 15% +33% Offers superior customer service 17% 12% +42% Is a fun and playful brand 17% 9% +89% 44

45 METHOD OLOGY 45

46 THE 2014 BRAND IMPACT STUDY COVERED 203 UNIQUE BRANDS IN FIVE VERTICALS ACROSS NINE MARKETS: Australia, France, Germany, Mexico, Singapore, Spain, Sweden, United Kingdom and United States. In each country, 500 respondents were asked about their usage and attitudes towards digital music platforms. Each respondent was then asked questions about brands in two of the five verticals. Verticals were randomly rotated so that 200 respondents answered questions for each vertical per country. comscore s Media Metrix database was leveraged to determine the online demographic makeup of respondents in each country. Respondents were then weighted by age and gender to match the online makeup in each of their respective countries. To define audience segments, respondents were asked about their usage of the following digital music services (streaming and non-streaming), customized according to their availability by country: Amazon MP3, Ampya, Beats Music, BitTorrent, Bloom.FM, DailyMotion, Deezer, Google Play Music All Access, Google Play Music (downloads), Grooveshark, Guvera, IdeasMusik, iheartradio, itunes (downloads), itunes Radio, KKBox, Last.FM, Musicload, MusicMe, Napster, Pandora, Radio.com, Rara, Rdio, Simfy, Slacker, Sony Music Unlimited, SoundCloud, Spotify, Vevo, XBox Music, Yahoo Music and YouTube. 46

47 GET IN TOUCH LEARN MORE ABOUT HOW STREAMING AUDIENCES ENGAGE WITH BRANDS /company/spotifyforbrands 47